Petrol prices may move closer to N1,400 per litre in parts of Nigeria after Dangote Petroleum Refinery raised its loading price for Premium Motor Spirit to N1,275 per litre.

The latest increase has already triggered fears of another round of pump price hikes across the country, especially in areas far from Lagos and other major supply routes.

According to price data and confirmation from refinery sources, Dangote Refinery increased its petrol loading price from N1,200 to N1,275 per litre, while coastal supply prices rose to about N1,215 per litre.

Why Petrol Prices Are Rising Again

The main pressure is coming from the global crude oil market. Rising tensions in the Middle East have pushed crude prices higher, making it more expensive for refiners to buy crude and produce petrol.

Since Nigeria’s fuel market is now largely driven by market forces, any major rise in crude oil prices can quickly affect local petrol prices.

This means Nigerians may continue to pay more at filling stations whenever crude prices, foreign exchange costs, or supply challenges increase.

Filling Stations Adjust Pump Prices

Several filling stations have already adjusted their pump prices, with petrol selling above N1,300 per litre in some parts of Lagos, Ogun, and other South-West states.

In northern states and areas farther from the refinery, prices may rise closer to N1,400 per litre due to transportation and supply costs.

Border communities may face even higher prices because of limited supply and distribution restrictions.

Dangote Refinery’s Price Power Raises Concern

The latest adjustment shows how much influence Dangote Refinery now has in Nigeria’s downstream oil market.

As the country relies more on local refining, marketers are watching Dangote’s price movements closely because they directly affect depot prices, transport costs, and pump prices.

PETROAN President Billy Gillis-Harry warned that fuel sellers are now facing serious price volatility, making it difficult to plan and sell profitably.

Why Local Refiners Want a Different Pricing Model

Local refiners have argued that Nigeria should not fully depend on international crude benchmarks like Brent when pricing crude for domestic refineries.

Their concern is simple: if crude is produced in Nigeria and refined in Nigeria, local refineries should not be exposed to every global price shock in the same way importers are.

Energy experts have also suggested that the Federal Government could sell crude to local refineries at a more stable price, as long as refiners agree not to sharply increase fuel prices.

What This Means for Nigerians

A higher petrol price will not only affect motorists. It will also increase transport fares, food prices, generator costs, and business expenses.

Small businesses that depend on petrol or diesel may be forced to raise prices again. For many households, the pressure will show up in daily spending, from commuting to buying basic goods.

Government Yet to Announce Relief Measures

Despite rising fuel prices, the Federal Government has not announced any major relief plan to reduce the pressure on Nigerians.

Industry players say government intervention is needed, especially now that higher crude prices may also increase Nigeria’s oil revenue.

Without relief measures, Nigerians may continue to bear the full cost of global oil shocks.

Petrol may hit N1,400 per litre if crude oil prices remain high and local supply costs continue to rise.

Dangote Refinery’s latest price increase has made the market more tense, and Nigerians may soon feel the impact through higher pump prices, transport fares, and food costs.

FAQs

Why is petrol becoming more expensive in Nigeria?

Petrol is becoming more expensive because crude oil prices are rising globally, while Nigeria’s fuel market now follows market-based pricing.

How much is Dangote Refinery selling petrol now?

Dangote Refinery reportedly raised its petrol loading price from N1,200 to N1,275 per litre.

Can petrol reach N1,400 per litre?

Yes. Marketers say petrol may reach or pass N1,400 per litre in some areas if crude prices remain high and distribution costs increase.

Why are prices higher outside Lagos?

Prices are usually higher outside Lagos because of transport costs, supply gaps, and distance from major depots or refinery supply points.

Will higher petrol prices affect food prices?

Yes. Higher petrol prices can increase transport costs, which often affects food prices and the cost of basic goods.